Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 410 (2015GS)

Sponsor

Rep. Draxler, J.

Final action

Governor Signed 3/25/2015

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• modifies and renames the Facility Energy Efficiency Act;
• modifies provisions relating to the State Building Energy Efficiency Program; and
• modifies state and local provisions relating to energy efficiency programs.

Every vote on this bill

Bill text

STATE AND LOCAL ENERGY EFFICIENCY PROGRAMS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Jack R. Draxler
Senate Sponsor: 
Kevin T. Van Tassell
LONG TITLE
General Description:
This bill addresses state and local energy efficiency programs.
Highlighted Provisions:
This bill:
▸ modifies and renames the Facility Energy Efficiency Act;
▸ modifies provisions relating to the State Building Energy Efficiency Program; and
▸ modifies state and local provisions relating to energy efficiency programs.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
11-44-101
, as enacted by Laws of Utah 2010, Chapter 244
11-44-102
, as enacted by Laws of Utah 2010, Chapter 244
11-44-201
, as enacted by Laws of Utah 2010, Chapter 244
11-44-202
, as last amended by Laws of Utah 2012, Chapter 347
11-44-203
, as enacted by Laws of Utah 2010, Chapter 244
11-44-301
, as last amended by Laws of Utah 2012, Chapter 347
11-44-302
, as enacted by Laws of Utah 2010, Chapter 244
63A-1-112
, as last amended by Laws of Utah 2008, Chapter 382
63A-5-701
, as last amended by Laws of Utah 2012, Chapter 242
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
11-44-101
 is amended to read:
CHAPTER 44. PERFORMANCE EFFICIENCY ACT
11-44-101.
Title.
This chapter is known as the "[
Facility Energy
] 
Performance
 Efficiency Act."
Section 2. Section 
11-44-102
 is amended to read:
11-44-102.
Definitions.
As used in this chapter:
(1) "Alternative fuel vehicle" means a motor vehicle that is not powered exclusively by
a petroleum fuel source.
[
(1)
] 
(2)
 "Cost savings" means a decrease in an expenditure, including a future
replacement expenditure, by a political subdivision resulting from [
an energy
] 
a performance
efficiency measure adopted under this chapter.
[
(4)
] 
(3)
 (a) "Facility" means a building, structure, or other improvement that is
constructed on property owned by a political subdivision.
(b) "Facility" does not mean a privately owned structure that is located on property
owned by a political subdivision.
[
(3) "Energy savings
] 
(4) "Performance efficiency
 agreement" means [
a contract
] 
an
agreement
 between a political subdivision and a qualified [
energy
] 
performance efficiency
service provider for evaluation, recommendation, and implementation of one or more [
energy
]
performance
 efficiency measures.
[
(2)
] 
(5)
 (a) "[
Energy
] 
Performance
 efficiency measure" means an action taken by a
political subdivision that reduces the political subdivision's:
(i) energy consumption;
(ii) water use; [
or
]
(iii) sewage use[
.
]
; or
(iv) operation and maintenance costs.
(b) [
"Energy
] 
"Performance
 efficiency measure" includes:
(i) insulation installed in a wall, roof, floor, foundation, or heating and cooling
distribution system;
(ii) a storm window or door, multiglazed window or door, heat absorbing or heat
reflective glazed and coated window or door system, additional glazing, or reduction in glass
area;
(iii) an automatic energy control system;
(iv) a heating, ventilating, or air conditioning and distribution system modification or
replacement in a facility;
(v) caulking and weatherstripping;
(vi) a replacement or modification of a lighting fixture to increase the energy efficiency
of the lighting system without increasing the overall illumination of a facility unless the
increase in illumination is necessary to conform to the applicable building code for the
proposed lighting system;
(vii) an energy recovery system;
(viii) a cogeneration system that produces steam or another form of energy for use
primarily within a facility;
(ix) a renewable energy or alternate energy system;
(x) a change in operation or maintenance practice;
(xi) a procurement of a low-cost energy supply, including electricity, natural gas, or
water;
(xii) an indoor air quality improvement that conforms to applicable building code
requirements;
(xiii) a daylighting system;
(xiv) a building operation program that provides cost savings, including computerized
energy management and consumption tracking programs or staff and occupant training; [
or
]
(xv) a service to reduce utility costs by identifying utility errors and optimizing rate
schedules[
.
]
; or
(xvi) the purchase and operation of an alternative fuel vehicle and the infrastructure to
support the operation of alternative fuel vehicles.
[
(5) "Facility energy
] 
(6) "Performance
 efficiency program" means a program
established by a political subdivision under this chapter to adopt [
an energy
] 
a performance
efficiency measure.
[
(6)
] 
(7)
 "Qualified [
energy
] 
performance efficiency
 service provider" means a person
who:
(a) has a record of successful [
energy savings
] 
performance efficiency
 agreements; or
(b) has:
(i) experience in the design, implementation, and installation of [
energy
] 
performance
efficiency measures;
(ii) technical capabilities to ensure that [
an energy efficient
] 
a performance efficiency
measure generates cost savings; and
(iii) the ability to secure the financing necessary to support the proposed [
energy
]
performance
 efficiency measure.
Section 3. Section 
11-44-201
 is amended to read:
11-44-201.
Political subdivision responsibilities -- State responsibilities.
(1) A political subdivision may:
(a) enter into [
an energy savings
] 
a performance efficiency
 agreement;
(b) develop and administer a [
facility energy
] 
performance
 efficiency program;
(c) analyze energy consumption by the political subdivision;
(d) designate a staff member who is responsible for a [
facility energy
] 
performance
efficiency program; and
(e) provide the governing body of the political subdivision with information regarding
the [
facility energy
] 
performance
 efficiency program.
(2) The following entities may provide information, technical resources, and other
assistance to a political subdivision acting under this chapter:
(a) the Utah Geological Survey, created in Section 
79-3-201
;
(b) the State Board of Education, under Title 53A, Chapter 1, Administration of Public
Education at the State Level;
(c) the Division of Purchasing and General Services, created in Section 
63A-2-101
;
and
(d) the Division of Facilities Construction and Management, created in Section
63A-5-201
.
Section 4. Section 
11-44-202
 is amended to read:
11-44-202.
Types of agreements.
Notwithstanding Section 
63G-6a-1205
, a political subdivision shall structure [
an energy
service
] 
a performance efficiency
 agreement as a guaranteed [
energy savings
] performance
[
contract
] 
efficiency agreement
, which shall include:
(1) the design and installation of [
an energy
] 
a performance
 efficiency measure, if
applicable;
(2) operation and maintenance of [
any energy
] 
a performance
 efficiency measure
implemented; and
(3) guaranteed annual cost savings that meet or exceed the total annual [
contract
]
agreement
 payments by the political subdivision under the [
contract
] 
agreement
, including
financing charges incurred by the political subdivision over the life of the [
contract
] 
agreement
.
Section 5. Section 
11-44-203
 is amended to read:
11-44-203.
Length of agreements.
A political subdivision may only enter into [
an energy savings
] 
a performance
efficiency
 agreement for more than one year if the political subdivision finds that the amount
the political subdivision would spend on the [
energy
] 
performance
 efficiency measure will not
exceed the amount of the cost savings over 20 years from the date of installation of the
[
energy
] 
performance
 efficiency measure.
Section 6. Section 
11-44-301
 is amended to read:
11-44-301.
Selection.
(1) A political subdivision shall follow the procedures outlined in Title 63G, Chapter
6a, Utah Procurement Code, when selecting a qualified [
energy
] 
performance efficiency
 service
provider.
(2) The Division of Purchasing shall maintain a list of qualified [
energy
] 
performance
efficiency
 service providers.
(3) The qualified [
energy
] 
performance efficiency
 service provider selected from the
bid process shall prepare an investment grade [
energy
] audit, which shall become part of the
final [
contract
] 
agreement
 between the political subdivision and the qualified [
energy
]
performance efficiency
 service provider.
(4) The audit shall include:
(a) a detailed description of the [
energy
] 
performance
 efficiency measure;
(b) an estimated cost; and
(c) a projected cost savings.
Section 7. Section 
11-44-302
 is amended to read:
11-44-302.
Annual reports.
During the term of [
an energy savings
] 
a performance efficiency
 agreement, the
qualified [
energy
] 
performance efficiency
 service provider shall submit an annual report to the
political subdivision that provides the cost savings attributable to the [
energy
] 
performance
efficiency measures taken by the political subdivision.
Section 8. Section 
63A-1-112
 is amended to read:
63A-1-112.
Certificates of participation -- Legislative approval required --
Definition -- Exception.
(1) (a) Certificates of participation for either capital facilities or capital improvements
may not be issued by the department, its subdivisions, or any other state agency after July 1,
1985, without prior legislative approval.
(b) Nothing in this section affects the rights and obligations surrounding certificates of
participation that were issued prior to July 1, 1985.
(2) (a) As used in this section, "certificate of participation" means an instrument that
acts as evidence of the certificate holder's undivided interest in property being lease-purchased,
the payment on which is subject to appropriation by the Legislature.
(b) (i) [
For purposes of
] 
As used in
 this Subsection (2)(b), "[
energy savings
]
performance efficiency
 agreement" [
has the meaning as
] 
means the same as that term is
 defined
in Section 
63A-5-701
.
(ii) "Certificate of participation" does not include [
an energy savings
] 
a performance
efficiency
 agreement.
Section 9. Section 
63A-5-701
 is amended to read:
63A-5-701.
State Building Energy Efficiency Program.
(1) For purposes of this section:
(a) "Division" means the Division of Facilities Construction and Management
established in Section 
63A-5-201
.
[
(b) "Energy efficiency measures" means actions taken or initiated by a state agency
that reduce the state agency's energy use, increase the state agency's energy efficiency, reduce
source energy consumption, reduce water consumption, or lower the costs of energy or water to
the state agency.
]
(b) "Energy efficiency measure" means an action taken or initiated by a state agency
that:
(i) reduces the state agency's energy or fuel use or resource energy consumption, water
or other resource consumption, operation and maintenance costs, or cost of energy, fuel, water,
or other resource; or
(ii) increases the state agency's energy or fuel efficiency or resource consumption
efficiency.
(c) [
"Energy savings
] 
"Performance efficiency
 agreement" means an agreement entered
into by a state agency whereby the state agency implements 
one or more
 energy efficiency
measures and finances the costs associated with implementation of [
energy
] 
performance
efficiency measures using the stream of expected savings in [
utility
] costs resulting from
implementation of the [
energy
] 
performance
 efficiency measures as [
the
] 
a
 funding source for
repayment.
(d) "State agency" means each executive, legislative, and judicial branch department,
agency, board, commission, or division, and includes a state institution of higher education as
defined in Section 
53B-3-102
.
(e) "State Building Energy Efficiency Program" means a program established under
this section for the purpose of improving energy efficiency measures and reducing the energy 
costs for state facilities.
(f) (i) "State facility" means any building, structure, or other improvement that is
constructed on property owned by the state, its departments, commissions, institutions, or
agencies, or a state institution of higher education.
(ii) "State facility" does not mean:
(A) an unoccupied structure that is a component of the state highway system;
(B) a privately owned structure that is located on property owned by the state, its
departments, commissions, institutions, or agencies, or a state institution of higher education;
or
(C) a structure that is located on land administered by the School and Institutional
Trust Lands Administration under a lease, permit, or contract with the School and Institutional
Trust Lands Administration.
(2) The division shall:
(a) develop and administer the state building energy efficiency program, which shall
include guidelines and procedures to improve energy efficiency in the maintenance and
management of state facilities;
(b) provide information and assistance to state agencies in their efforts to improve
energy efficiency;
(c) analyze energy consumption by state agencies to identify opportunities for
improved energy efficiency;
(d) establish an advisory group composed of representatives of state agencies to
provide information and assistance in the development and implementation of the state
building energy efficiency program; and
(e) submit to the governor and to the Infrastructure and General Government
Appropriations Subcommittee of the Legislature an annual report that:
(i) identifies strategies for long-term improvement in energy efficiency;
(ii) identifies goals for energy conservation for the upcoming year; and
(iii) details energy management programs and strategies that were undertaken in the
previous year to improve the energy efficiency of state agencies and the energy savings
achieved.
(3) Each state agency shall:
(a) designate a staff member that is responsible for coordinating energy efficiency
efforts within the agency;
(b) provide energy consumption and costs information to the division;
(c) develop strategies for improving energy efficiency and reducing energy costs; and
(d) provide the division with information regarding the agency's energy efficiency and
reduction strategies.
(4) (a) A state agency may enter into [
an energy savings
] 
a performance efficiency
agreement for a term of up to 20 years.
(b) Before entering into [
an energy savings
] 
a performance efficiency
 agreement, the
state agency shall:
(i) utilize the division to oversee the project unless the project is exempt from the
division's oversight or the oversight is delegated to the agency under the provisions of Section
63A-5-206
;
(ii) obtain the prior approval of the governor or the governor's designee; and
(iii) provide the Office of Legislative Fiscal Analyst with a copy of the proposed
agreement before the agency enters into the agreement.